The Society of Independent Brewers has reacted to the Budget. Credit: PA

The Society of Independent Brewers (SIBA) has criticised plans announced in the Budget for a two pence rise in beer tax.

SIBA welcomed a £1000 reduction in business rates for pubs which it said would help to "support" the sector, but added that "more needs to be done" to counter the rise in beer duty.

The £1000 reduction in business rates for pubs with a rateable value below £100,000 is welcome support for the sector, although much more needs to be done.

But this contrasts sharply with the two pence increase on beer tax which is a blow for the millions of people who enjoy a pint of British beer in their local pub and also for Britain's 1,800 small brewing businesses across the country.

We called for local brewers and community pubs to be supported with a cut in beer duty to build confidence, enable investment and create jobs in light of increasing costs and uncertainty, but the Chancellor's decision will be a setback.